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Non-Owner Car Insurance: What It Is And Who Needs It

Non-owner automobile insurance coverage is helpful for people who drive autos that they don’t personal. Whether or not you’re renting or borrowing a automobile, a non-owners insurance coverage coverage would pay for accidents and injury within the case of an accident. Merely put, such a automobile insurance coverage protects you while you’re driving a automobile you don’t personal.

This may be since you drive a automobile for work, borrow a automobile commonly or are mandated by the courts to hold the additional protection. Non proprietor automobile insurance coverage dietary supplements the automobile insurance coverage that’s already on the automobile, offering further protection in case of a crash or different automotive accident.

The common value of a non-owners coverage is $474. This price is far decrease than that of a normal automobile insurance coverage coverage, which makes it a helpful funding for many who want it. Plus, non-owners insurance coverage will depend as steady protection, so that you gained’t be penalized with the next premium when you resolve to get your individual automobile once more.

A number of corporations supply non-owner automobile insurance coverage insurance policies nationwide, together with Geico, State Farm, Nationwide and the Basic. Thankfully, this makes procuring round for one of the best worth easy: You simply must name every supplier to request a quote as a result of non-owner automobile insurance coverage quotes should not sometimes obtainable on-line.

What does non-owner automobile insurance coverage cowl?

If you happen to borrow somebody’s automobile and are concerned in an accident, the automobile proprietor’s automobile insurance coverage pays out first. If it’s not sufficient to cowl damages, your non-owner coverage will kick in as secondary protection.

A non-owner automobile insurance coverage coverage normally solely supplies minimal protection while you’re driving a automobile that you just don’t personal. Usually, these insurance policies embody bodily damage (BI) and property injury (PD) legal responsibility protection, neither of which embody a deductible while you make a declare. BI protection takes care of medical bills and misplaced wages suffered by the sufferer of an accident for which you’re at fault, whereas PD insurance coverage helps you pay for injury to somebody’s automobile or property. Moreover, whereas optionally available coverages usually related to automobile insurance coverage, like collision, complete, towing and rental reimbursement, should not obtainable via non-owner insurance policies, some insurers do supply uninsured/underinsured motorist bodily damage protection.

To get probably the most out of your coverage, verify together with your supplier to see if you’re eligible for legal responsibility protection on rental autos. Alternatively, when you don’t lease vehicles typically, it might be cheaper to make use of your complimentary bank card rental automobile insurance coverage or buy rental automobile insurance coverage via the car-rental company.

When do you want non-owner automobile insurance coverage?

If you happen to don’t personal a automobile, you’re sometimes not legally required to have a non-owner automobile insurance coverage coverage. There are, nonetheless, some conditions when it’s a good suggestion to use for protection.

  • You lease vehicles commonly If you happen to lease vehicles regularly for journey or different causes, a non-owner coverage that provides legal responsibility protection on rental autos generally is a cost-effective choice. That mentioned, you may also need to buy rental automobile insurance coverage via your bank card or the car-rental firm.
  • You borrow vehicles commonly: If you happen to’re a caregiver or work with somebody whose automobile you typically use, having non-owner insurance coverage to complement their private coverage when you get in an accident. Nonetheless, if you’re borrowing a automobile from somebody in your family, you need to be listed on their coverage –– not on a non-owner coverage.
  • You employ a car-sharing service If you happen to’re enrolled in a car-sharing service like Car2Go, Zipcar or Maven, you’ll sometimes get some legal responsibility and injury protection as a part of your membership. Test the fantastic print to learn the way a lot safety you could have. In some instances, it could be clever to get some extra protection.
  • You’re with no automobile quickly If you happen to’re promoting your automobile however plan to purchase a brand new one within the close to future, it’s normally a good suggestion to get non-owners insurance coverage to forestall a lapse in insurance coverage protection. In any other case, it’s possible you’ll find yourself paying the next price for normal insurance coverage while you get a brand new automobile.
  • You’re required by a courtroom: If you happen to’ve dedicated critical visitors violations, a courtroom might require you to file a proof-of-insurance certificates to take care of your driver’s license, even when you don’t personal a automobile. Particularly, this may occur when you’ve been convicted of a DUI, brought about an accident as an uninsured driver or been ticketed for reckless driving. If this occurs, it’s possible you’ll want non-owner SR-22 insurance coverage (or FR-22 insurance coverage when you reside in Florida or Virginia).

2019 Finest non-owner automobile insurance coverage corporations

Every of those corporations affords non-owner automobile insurance policy in all 50 states, and Geico, State Farm and Nationwide are recognized for his or her high quality customer support in some areas, in keeping with J.D. Energy.


If you happen to’re attempting to find nice non proprietor automobile insurance coverage, Geico is a superb choice. Like most non-owner insurance coverage choices, Geico’s solely covers legal responsibility claims, resembling bodily accidents or property injury to the victims of an accident by which you’re at fault. Which means that when you or any passengers with you’re harm in an accident, you’ll need to have extra insurance coverage.

What’s nice about Geico’s non-owner automobile insurance coverage is that it’s an awesome choice when you’re attempting to maintain your charges low whereas in-between vehicles or when you want proof of insurance coverage for no matter motive. One other nice facet of Geico’s protection is that if you have already got one other insurance coverage coverage via Geico, resembling owners or renters insurance coverage, you’ll be able to qualify for a bundling low cost in your non-owner auto insurance coverage coverage. No different supplier affords this low cost.

Additionally, after we referred to as to ask for quotes, Geico had the simplest cellphone tree to navigate and had us talking with a pleasant, useful particular person the quickest.

State Farm

State Farm’s non-owner automobile insurance coverage is just like Geico’s in that it’s liability-focused. State Farm’s Bodily Harm pays for payments resembling medical bills, ache and struggling and misplaced wages, whereas the property injury legal responsibility protection pays for payments related to automobile restore or property injury in accidents for which you’re at fault.

Rideshare insurance coverage can be a function provided by State Farm, however this protection is an add-on for present policyholders and is thus not thought-about non-driver insurance coverage.


Nationwide additionally affords prospects legal responsibility insurance coverage like State Farm and Geico. Moreover, Nationwide encourages companies to guard themselves with non-owned vehicle insurance coverage, which covers them when their workers get in accidents involving firm autos used for enterprise functions. Together with normal legal responsibility insurance coverage, the enterprise auto insurance coverage contains uninsured and underinsured motorist protection, medical funds protection and Private Harm Safety (PIP).

The Basic

Nobody’s good. All of us slip up every now and then and get the occasional mark on our driver’s file. When you could have your license suspended or lose it altogether, it’s good to have a supplier in your nook that can proceed to have your again.

The Basic is that supplier. It affords legal responsibility protection for bodily damage and property injury like Nationwide, State Farm and Geico, however The Basic brokers are specialists in overlaying drivers in want of proof of insurance coverage. If you happen to typically drive another person’s automobile—or want protection to make it possible for your charges don’t go up whereas in between automobile possession—and have thought-about getting non-owner automobile insurance coverage, The Basic could also be amongst your finest choices.

Learn how to purchase non-owner automobile insurance coverage

Not all corporations supply non-owner automobile insurance coverage, so have a look at the desk under to search out suppliers that present these insurance policies. Usually, non-owner insurance coverage quotes aren’t obtainable on-line, so that you’ll must name the businesses on to get an estimate.

Earlier than you name, you’ll must have your automobile and private data so as, together with your driver’s license quantity and state of subject and driving historical past (prior tickets, accident historical past and license suspension data). Have a credit score or debit card prepared too.

When is non-owner automobile insurance coverage pointless?

If you happen to’re nonetheless unsure in case your state of affairs deserves non-owners insurance coverage, listed below are some conditions the place it’s clear that you just don’t want it.

  • The automobile you drive has enough insurance coverage: Whether or not you utilize a member of the family’s or good friend’s automobile or a car-sharing service, a non-owners insurance coverage coverage supplies secondary protection. Which means that you sometimes don’t want it if the protection on the automobile you’re driving is strong. Test with the automobile’s proprietor or the contract in your car-sharing service to learn the way a lot protection it has and decide whether or not it wants extra while you’re behind the wheel.
  • You don’t lease vehicles typically: If you happen to lease vehicles irregularly, the protection provided via your bank card or the automobile rental firm could also be cheaper than having a coverage with a month-to-month premium.
  • You personal a automobile If you happen to personal your automobile, it goes with out saying that non-owners insurance coverage isn’t the precise protection on your wants. As an alternative, you’ll need to get a normal automobile insurance coverage coverage, which supplies extra complete safety.

Non-owner automobile insurance coverage charges

Non-owner automobile insurance coverage premiums are considerably decrease than these for normal automobile insurance coverage. A non-owner automobile insurance coverage coverage will value you roughly $474 a 12 months on common.

With a standard automobile insurance coverage coverage, a major issue that determines how a lot you pay in premiums is the worth of the automobile being insured. For instance, a $200,000 sports activities automobile prices much more to insure than an $18,000 minivan.

With non-owner automobile insurance coverage, nonetheless, there’s no automobile to insure, so you’re the essential issue that determines the speed. Particularly, insurance coverage corporations will have a look at how doubtless it’s that you just’ll trigger an accident. They do that by checking your driving file and your credit-based insurance coverage rating. Different elements are additionally assessed, resembling your age, marital standing and the place you reside.

With a median non-owner insurance coverage coverage costing $1,090 yearly, New Jersey is the most costly state to take out considered one of these insurance policies. Alternatively, Wisconsin has the most affordable charges, at a median of $171.

Somebody who has a clear driving file and glorious credit score goes to get a decrease price than somebody with a whole lot of citations, accidents and less-than-perfect credit score. Don’t take this personally – simply clear up your credit score and maintain a clear driving file, and also you’ll be capable to get a decrease price over time. The place you reside additionally determines how a lot your non-owner automobile insurance coverage will value.

Steadily requested questions on non-owner automobile insurance coverage

Can I lease a automobile with non-owners insurance coverage?

Sure, non-owners insurance coverage supplies protection when you lease a automobile and is a good suggestion when you commonly lease autos. Many bank cards additionally embody protection when you use them to ebook your rental automobile.

Ought to I get non-owner automobile insurance coverage if I’m borrowing a automobile long run?

If you happen to’re planning on borrowing a automobile for an prolonged time period, it is best to ask the proprietor so as to add you to their coverage, moderately than taking out non-owner automobile insurance coverage.

What is non-owners SR-22 insurance coverage?

If in case you have a driving offense in your file, like a DUI or a suspended license, it’s possible you’ll must file an SR-22. This doc isn’t an insurance coverage coverage, however it’s issued by your insurance coverage firm and signifies to the state that you’re carrying an acceptable type of automobile insurance coverage.

Is a non-owners coverage obtainable in my state?

Sure, non-owners insurance policies can be found in each state within the US. Relying on the place you reside, the speed will fluctuate, however most insurance policies embody the identical sort of protection. You may additionally must file an SR-22 relying on the explanation you want a non-owners coverage and the legal guidelines in your state.

The Backside Line

Whether or not you’re renting a automobile or seeking to keep away from a niche in your insurance coverage historical past, it’s useful to buy non-owner automobile insurance coverage when required to guard your self within the occasion of an accident.
Not all suppliers supply non-owner insurance coverage. If you happen to’re seeking to buy this coverage, examine quotes from Geico, State Farm, Nationwide and The Basic. Along with evaluating charges, additionally have a look at the supplied protection to get the coverage that gives you probably the most worth. Then, store round yearly to be sure you nonetheless have one of the best price obtainable.

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